G In Europe, proponents of fiscal decentraliza- tion refer to the "princi le of subsidiarity. Mezhdunarodnyi opyt v oblasti upravleniya obshchestvennymi finansami na subnatsional'nom urovne obobshchennyi i adaptirovannyi k rossiiskim usloviyam [International experience in public financial management at the subnational level summarized and adapted to the Russian conditions ].
In other words, it is the study of how competencies expenditure side and fiscal instruments revenue side are allocated across different vertical layers of the administration.
This paper is a selective survey of fiscal federalism. Talking about an administrative aspect of decentralization, it could be compared to the hierarchical bureaucracy.
These terms are used as synonyms, but they are not. Osborne It is my sense that this is the primary thrust behind the current welfare reform. Needs, Sources, and Utilization.
The precise nature of this asymmetry, in a particular country, can be determined by using certain criteria that the author has evolved. Assignment of functions to levels of government 2. For example, in Russia from June 1, there is the law on the direct election of governors.
If the costs of provision are the same across jurisdictions, but demands differ, then the extent of the welfare loss from a centrally imposed, uniform level of output increases, other things equal, with the price inelasticity of demand.
In some cases, as in Canada, it may provide the glue neces- sary to hold the federation together. This is the sub- ject matter of fiscal federalism. Or, more accurately, the analysis shows that on efficiency grounds decentralized governments should tax mobile economic units with benefit levies Oates and Robert Schwab ; Oates b.
For instance, local government does not always use their informational advantage in favor of citizens as well as different regions are provided with different public goods and services.
They must not be overly dependent on trans- fers from above. What matters here is the extent of the suboptimality. But a society may well wish, for other reasons, to provide additional sup- port for the provision of local public services such as schools in relatively low-income areas e.
Under earlier programs, federal aid took a match- ing form such that the federal govern- ment effectively shared the costs and risks of new state-level programs. Central government a macroeconomic stabilization b income redistribution 2.Fiscal Federalism and European Economic Integration The pace of economic integration among European Union (EU) member states Fiscal Federalism and European Economic Integration Edited by Mark Baimbridge and Philip Whyman.
1 An essay on fiscal federalism 13 WALLACE E. OATES. Journal of Economic Literature Vol. XXXVII (September ) pp.
– Oates: An Essay on Fiscal Federalism An Essay on Fiscal Federalism WALLACE E. OATES1 1. Oates: An Essay on Fiscal Federalism My purpose in this essay is not to provide a comprehensive survey of fis- cal federalism.
I begin with a brief re-view and some reflections on the tradi. A Republic of the Mind: Cognitive Biases, Fiscal Federalism, and Section of the Tax Code 4. Louis Kaplow, Fiscal Federalism and the Deductibility ofState andLocal Taxes Under the Federal Income Tax, 82 VA.
L. REV. (). at ; cf.
Wallace E. Oates, An Essay on Fiscal Federalism, 37 J. ECON. LIT.( An essay on fiscal federalism, Oates: An Essay on Fiscal Federalism An Essay on Fiscal Federalism WALLACE E.
OATES 1 1. Introduction FISCAL DECENTRALIZATION is in vogue.
Page 2. My purpose in this essay is not to provide a comprehensive survey of fis- cal federalism. Nicolai Hartmann and the metaphysical foundation of phylogenetic. This essay has three main aims.
First, it reviews existing empirical evidence on the relationship between institutional rules, political representation and policy outcomes. It aims to place the literature into a broader context of theoretical and empirical work in the field of political economy.Download